“I’ve spoken to Gus and he feels his job has become redundant, that the job has been done,” Fletcher told the Herald.

“He would like me to take that to the board tomorrow and get the board to accept it.

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“He’s been here for eight or nine years and done a marvelous job. He will move on with another phase of his life. I don’t think the board will stand between what Phil wants to do.”

Asked how much it would cost to pay out the remainder of Gould's contract, Fletcher said: “He’s got a contract and there are certain clauses in the contract that are honoured."

The development comes just weeks after the Panthers were in the headlines over Gould approaching supercoach Wayne Bennett at the same time as Penrith chairman Dave O'Neill was negotiating with Ivan Cleary about taking the head coaching job at the club.

While there has been fallout between Gould and Cleary, the Panthers board is handling the matter delicately given Gould's service to the club.

“We’ve got great facilities here for the footballers. The reality is we’ve got a new coach now in Ivan and Phil is happy with that. He’s happy that Ivan’s here, Ivan has got a five-year contract.

On the way out: Penrith general manager of football Phil Gould.Credit:NRL Photos

“Basically, that’s the story. Phil said I don’t need to be here now getting paid while the football structure is right. The set up is right, the juniors are coming through. We haven’t won a lot of football games but that will come.”

Gould sacked Cleary in 2015 with a year remaining on his contract, claiming the former Warriors mentor was “tired”. The Panthers, partly motivated by the chance to retain his son, NSW halfback Nathan Cleary, brought him back on a mammoth five-year deal following the sacking of Anthony Griffin.

Asked how much tension there was between Cleary and Gould following their Panthers reunion, Fletcher said: “You would have to ring Gus and ask him that. To me, there was none.

“It was his decision. We had a discussion this morning about the football department and he has come back in the belief his position is now redundant.

“The job has been done. It’s as simple as that. He said the job has become redundant so you don’t replace him. All of the other positions are there. Matty Cameron is in charge of football and development, we’ve got three coaches in Cleary, [Cameron] Ciraldo and (Peter) Wallace. It’s all there.

“He set all of that up, Gus.”

It brings to an end Gould's third stint with club, having played with the side in the 1970s, and coached them to a premiership in 1991 before taking over as general manager of football in 2011.